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Macklem speech: June rate cut is possible

Tiff Macklem, Governor of the Bank of Canada (BoC), and Senior Deputy Governor Carolyn Rogers explain the BoC decision to leave the interest rate unchanged at 5% after the April policy meeting and respond to questions from the press.

Key quotes

"June rate cut is within the realm of possibilities."

"Decline we've seen in momentum is very recent."

"With gasoline prices rising, CPI is likely to remain around 3% in the coming months."

"BoC is increasingly confident that inflation will continue to come down gradually even as economic activity strengthens."

"We expect core inflation to continue to ease gradually."

"Shelter cost inflation is still very high and some other services remain persistently high."

Market reaction

USD/CAD preserves its bullish momentum and was last seen trading at its highest level since November at 1.3670, rising 0.72% on a daily basis.

 

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